The European Stock
The European Stock

The decline was dominated by European stock indices at the end of trading today, with the stopping of the gains in global markets.

The drop in European stock markets came to take a breath after strong gains in the past sessions, coinciding with the decline in US stocks from their highest levels ever.

European companies continued to announce their business results, as Total profits fell by 66 percent over the past year, with the decline in energy demand.

Coronavirus and the launch of the vaccine continue to dominate the headlines and market sentiment in Europe.

By the end of trading, the "Stoxx 600" index decreased by 0.1 percent to 410.4 points, while the British "FTSE" increased by 0.1 percent to 6,531.5 points.

The German "DAX" index fell by 0.3 percent to the level of 14011.8 points, and the French "CAC" rose by 0.1 percent to 5691.5 points.

European stock indices recorded a rise in yesterday's trading session, Monday morning, after achieving its best weekly gains in nearly three months, as the semiconductor Dialog boosted the technology sector, while hopes for a faster economic recovery continued on the back of the global distribution of vaccines, according to what was published by "Reuters".

Renesas Electronics and Dialog said they had agreed that the Japanese chipmaker would buy the Frankfurt-listed chip design company for 4.9 billion euros ($ 5.90 billion) in cash.

The Stoxx 600 index of European shares rose 0.4%, after gains of 3.5% last week, while technology stocks rose 1.3%.

Shares in Frankfurt advanced 0.6%, outperforming all European markets in early trade.

The gains included most of the European sector indices.

Global markets made a strong start to the week, while investors awaited the US stimulus package from the emerging corona virus "Covid-19" amounting to $ 1.9 trillion, which is expected to be approved by lawmakers this month.

The US Treasury Department confirmed that US President Joe Biden is ready to work with Congress on the stimulus package, Al Arabiya reported.

Earlier, the administration of US President de Biden announced yesterday, Saturday, that it had immediately halted the asylum agreements concluded by the Trump administration with El Salvador, Guatemala and Honduras, in an attempt to stop the former president's strict immigration policies, according to Reuters.

In a statement, US Secretary of State Anthony Blinken said that the United States has suspended and begun the process of ending cooperative asylum agreements with the governments of Guatemala, El Salvador and Honduras, as the first specific steps on the road towards greater partnership and cooperation in the region identified by President Biden.

US Treasury Secretary Janet Yellen confirmed in an interview with CNN that without stimulus programs, the US labor market, which is experiencing a “faltering” situation, will not recover for years.

"We are in a deep crisis with regard to the labor market, and there is a long way out of it," she said, through the stimulus plan supported by President Joe Biden.

Yellen expressed her concerns about the job market in the absence of support plans, which would make unemployment rates high for years, and may not reach 4% again before 2025, noting that the latest jobs report showed that the US economy created 49,000 jobs only in January.

It is likely that the stimulus plan will restore employment capabilities in the US economy during the next year, which means that the US economy will recover quickly from the consequences of the Corona pandemic.